WSR 00-22-091

PREPROPOSAL STATEMENT OF INQUIRY

DEPARTMENT OF REVENUE


[ Filed October 31, 2000, 3:57 p.m. ]

Subject of Possible Rule Making: WAC 458-20-24001 Sales and use tax deferral -- Manufacturing and research/development facilities in distressed areas.

Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 82.32.300.

Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: The department is considering a revision of information now provided in Rule 24001 to incorporate legislative amendments to chapter 82.60 RCW, Tax deferrals for investment projects in distressed areas. This legislation changed the geographic areas eligible for the deferral program, employee hiring requirements, and the requirements regarding repayment of deferred taxes. The department anticipates segregating the information into distinct parts covering specific time periods. This will allow taxpayers and department staff to more readily determine the program criteria applicable for a specific time period. The department is anticipating providing the information in two separate rules, one of which may be a revised Rule 24001. One rule to address the program criteria for past periods (applications filed prior to July 31, 1999) and a second rule to address the current criteria (for applications filed after July 31, 1999).

Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: None.

Process for Developing New Rule: Modified negotiated rule making.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication. Written comments may be submitted by mail, fax, or at the public meeting. Oral comments will be accepted at the public meeting. The preliminary drafts of the proposed changes are available upon request. Written comments on and/or requests for copies of the rule may be directed to Cindy Evans, Legislation and Policy, P.O. Box 47467, Olympia, WA 98504-7467, phone (360) 570-6134, fax (360) 664-0693, Internet cindyev@dor.wa.gov.

     Location and Date of Public Meeting: December 12, 2000, at 9:30 a.m., Capitol Plaza Building, 4th Floor, Room 400, Large Conference Room, 1025 East Union Avenue, Olympia, WA.

     Assistance for Persons with Disabilities: Contact Ginny Dale no later than ten days before the hearing date, TDD 1-800-451-7985, or (360) 570-6176.

October 31, 2000

Claire Hesselholt

Rules Manager

Legislation and Policy Division

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